◎I will explain our progress of our corporate strategy disclosed on January 29, 2016.
◎In the Air Transportation business, we are continuing with plans for new routes of Vanilla Air. We will expand routes in Asia, including using Taipei as a base for exercising the beyond rights to the third countries, in order to develop demand of Vanilla Air.
◎In the non-air business, we are working to capture growth business domains for the future. We recently established ANA X Inc., a new company that will enhance the marketing capabilities of our Group. We will extend external revenue by using current assets by taking advantage of our customer platform and brand power to establish a model for an ANA economic platform that targets ANA Mileage Club members and others.
◎For our e-commerce business, we will conduct aggressive expansion through inter-group partnerships, including Cargo Services, to generate latent demand and capture business opportunities.
◎In June, the Trade and Retail business established a company for operating city-type duty-free shops. Operations are scheduled to begin in spring of 2017. Currently, inbound traffic is steadily increasing. However, we are seeing major changes in consumer trends, including a lull in shopping sprees. We will make preparations for products and services such as consumer goods to address future changes in the market environment.
◎Regarding financing, in light of our rating improvement in March of this year, we issued bonds for institutional and individual investors, both based on conditions more favorable than ever before. We will continue to take advantages of the current financial soundness for flexible procurement of financing.
◎Please turn to page 8.